DTN Early Word Grains         02/04 05:45
   Biofuel Policy Proposals Wake Up Corn, Soybean Market Watchers

   March corn is down 1 1/2 cents per bushel, March soybeans are down 2 1/4
cents, March KC wheat is down 3 1/2 cents, March Chicago wheat is down 2 1/4
cents, and MIAX March Minneapolis wheat is down 0.0050 cents.

Mike McGinnis
DTN Contributing Analyst

   EARLY MORNING GLOBEX NET CHANGES: March corn is down 1 1/2 cents per bushel,
March soybeans are down 2 1/4 cents, March KC wheat is down 3 1/2 cents, March
Chicago wheat is down 2 1/4 cents, and MIAX March Minneapolis wheat is down
0.0050 cents.

   CME GLOBEX RECAP: On Tuesday, March corn closed up 2 3/4 cents, March
soybeans closed up 5 1/2 cents, and March KC wheat closed down 1/2 cent.
Soybean basis was steady, and corn basis was stronger on Tuesday, while hard
red winter wheat, spring wheat, and soft red winter wheat basis were steady.
The ag markets built off bullish news, such as strong corn and soybean crush
usage, a U.S. trade deal with India offering potential U.S. soybean oil exports
to the most populous country. The Treasury Department moved biofuel policy
forward, announcing proposed rules for a 45Z tax credit. The U.S. dollar fell
while crude oil prices rose amid heightened tensions between the U.S. and Iran.
 USDA will release its NASS field office reports on crop and range conditions
in select states, which will be noteworthy for winter wheat, given the cold
snap in late January.

   OUTSIDE MARKETS: Previous closes on Tuesday showed the Dow Jones Industrial
Average down 166.67 at 49,240.99 and the S&P 500 down 58.63 at 6,917.81. The
10-Year Treasury yield ended at 4.274%. Early Wednesday, the March Dow Jones
Futures are up 145 points. European markets are mixed, with the spot futures of
London's FTSE 100 trading up 1%, spot futures of Germany's DAX are trading down
0.01%, and the spot futures of France's CAC 40 Index are up 0.93%. Asian
markets are mixed, with Japan's Nikkei 225 Index down 0.78% and China's
Shanghai Composite Index up 0.85%.